Member Article

Addressing the North East skills gap

Upskilling the North East workforce has long been touted as a device to drive growth and prosperity.

In the third of our follow-up articles to the Bdaily ‘State of Region’ debate, we focus on the perceived skills shortage in the North East.

The most recent Workforce Survey report from the NECC highlighted that 52% of firms in the North East want to take on more employees before 2015.

Business has often communicated that opportunity for growth has been curtailed by a lack of appropriate skills in the workforce.

Debate over the root causes has brought into question the usefulness of some qualifications, and also sustainability in workforce management practices among business.

Martin Callanan MEP, commented: “We have to do more to encourage young people to see the opportunities on our door step.

“I was pleased to see the Government promise that 100,000 work experience places will be available over the next two years and giving £180 million to provide up to 50,000 additional apprenticeship places over the next four years.”

The need to attract young people into the region’s growth sectors is key, and to foster this, it is suggested that we need promote qualifications that equip for these sectors.

STEM subjects (science, technology, engineering and mathematics) could provide a more valuable skillset for our engineering, manufacturing and technology sectors.

Engaging educational institutions in this, could be fundamental, as eminent businessman Bill Midgley points out.

Bill said: “We have a wide range of Further Education Colleges and Universities.

“How far are they tied into the local business communities, and the need to provide the skills that business and the region needs, not merely to be a vehicle for ticking boxes to satisfy funding bodies?”

Paul Callaghan of The Leighton Group remarked that many would be put off further education altogether by the costs involved.

Equally, there is a need for business to play its part in the development and upskilling of the workforce.

James Ramsbotham, CEO of the NECC, referred to the recent ‘Bridging the Gap’ report, which revealed that North East firms were experiencing restraint on their growth ambitions, because of a skills shortage.

He said: “Businesses must ensure they play their part in training employees to protect their competitive edge.

“The report demonstrates that they need to actively engage with training providers to ensure the workforce is equipped with the skills required for success.”

Further to this notion, Paul McEldon, CEO of the North East BIC, proposed there should be consideration for those with their own business ideas.

He commented: “We need to continue in creating an environment which encourages enterprise, rewarding and creating role-models out of people who are successful in business.

“There have been many positive changes in the North East over the past 16 years, which have made it a very friendly place for businesses to start, grow or even to relocate from elsewhere in the country.

“Again, we need to build on what we already have to develop this further, and keep talent in the region.”

This was posted in Bdaily's Members' News section by Tom Keighley .